ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -There is limited government regulation in a mixed economy, while there is heavy government regulation and control in a command economy.

Detailed explanation-2: -Command economies have been associated with communist nations whereas free-market economies have been associated with democracies. Command economy advantages include low levels of inequality and unemployment and the common objective of replacing profit with equality as the primary incentive of production.

Detailed explanation-3: -What is the primary characteristic of a command economy? The central feature of a pure command economy is government control. Rather than letting market forces dictate the production of goods and services, the government determines economic priorities and controls production and pricing.

Detailed explanation-4: -In a command economy, governments own the factors of production and set prices and production schedules. In a market economy, prices are set by supply and demand. Most nations operate largely as a command or market economy but all include aspects of the other.